Gold prices cross Rs 19,000

Gold prices zoomed past all previous records to a new peak in Delhi and Mumbai, with pure gold (99 .9 purity) touching Rs 19,220 per ten grams in the national capital today and Rs 19,025 in Mumbai.

The yellow metal saw some frantic buying by stockists after the metal surged to an all-time high in international markets. Reports of a firming global trend came at a time when the metal was going through a bullish patch in domestic markets on hectic buying by jewelers and retail customers for the ongoing marriage season.

The price of gold in dollars strengthened as the euro slipped to its lowest level in more than four years against the US currency, making the metal more costlier when bought in the eurozone.

The trading sentiment turned extremely strong after gold climbed to record levels in London as investors sought an alternative to currencies and equities as concerns over the deepening Europe debt crisis mounted. Gold in London surpassed all previous records to trade at $1,252.90 an ounce.

In Delhi, pure gold (99.9 purity) jumped up by Rs 195 to touch a new peak of Rs 19,220 per ten grams, while gold of 99.5 per cent purity was being traded higher by the same margin at a record high of Rs 19,120 per ten grams. Sovereigns also gained Rs 50 to Rs 14,700 per piece of eight grams.

In Mumbai, standard gold (99.5 purity) shot up by Rs 295 per ten grams to resume at Rs 18,940 from the overnight closing level of Rs 18,645. Pure gold (99.9 purity) also rose to a historic high of Rs 19,025 from Rs 18,730 previously.

With prices of the precious metal on a high worldwide, gold in futures trading on the Multi Commodity Exchange for delivery climbed over 19,000, a level never seen before.

In line with the general firming trend, silver prices recorded significant gains on increased offtake by industrial units and other consuming sectors like coin and jewellery fabricators.